Bitcoin

Polkadot Under Fire for Heavy Marketing Spend Amid Sustainability Concerns

Published

4 months ago

July 8, 2024

Be part of Our Telegram channel to remain updated on breaking information protection

Polkadot is going through scrutiny after its treasury report revealed it spent $87 million in the course of the first half of 2024, with $36 million of that going in direction of advertising and outreach.

On the present spending price, Polkadot has round $245 million price of DOT tokens left that would final two years, mentioned head ambassador Tommi Enenke. The treasury will proceed to develop because it will get 7% of staking rewards.

DOT has plunged practically 4% within the final 24 hours to commerce at $6.15 as of 07:11 a.m. EST.

Polkadot Below Fireplace

Over $36 million of the primary half’s spending this 12 months was used for actions together with commercials, meetups, occasions, and conferences. That triggered criticism on X, with X consumer @DefiIgnas arguing that Polkadot’s heavy advertising spend was futile because it remained “invisible” throughout social platforms.

Polkadot spent $37m USD in outreach in the course of the first half of 2024, focusing on new customers, builders, and companies

• $10m on adverts/sponsorships
• $4.4m on influencers
• $4m on digital adverts

But Polkadot nonetheless appears invisible on X and elsewhere. pic.twitter.com/pk0haLvuNm

— Ignas | DeFi (@DefiIgnas) July 1, 2024

X consumer @seunlanlege mentioned that the treasury was losing cash on “misplaced advertising” as an alternative of investing in growth as different blockchains like Optimism and Arbitrum have completed.

Manta co-founder Victor Ji echoed this sentiment, and accused Polkadot of discrimination, a poisonous surroundings, and disrespect for customers.

“We don’t wish to have interaction with the Polkadot ecosystem and workforce in any respect,” he mentioned. “It’s a extremely poisonous ecosystem that lacks any actual worth for web3, and it doesn’t give attention to customers or adoption in any respect.”

Because the founding father of the earlier largest (non-DOT) TVL and market cap/FDV mission within the Polkadot ecosystem, I’ve to say that we don’t wish to have interaction with the Polkadot ecosystem and workforce in any respect. It’s a extremely poisonous ecosystem that lacks any actual worth for web3, and it doesn’t… https://t.co/YxAPF1CYC9

— victorji.eth ✨🌊✈️EthCC (@victorJi15) July 2, 2024

Whereas defending Polkadot, Jeeper, the pseudonymous writer of the treasury report, mentioned that the spending was common as all networks have related expenditures.